Legislature(2023 - 2024)ADAMS 519
03/20/2023 01:30 PM House FINANCE
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| HB39 || HB41 | |
| HB79 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 39 | TELECONFERENCED | |
| += | HB 41 | TELECONFERENCED | |
| += | HB 79 | TELECONFERENCED | |
| + | TELECONFERENCED |
HOUSE BILL NO. 79
"An Act making supplemental appropriations,
reappropriations, and other appropriations; amending
appropriations; and providing for an effective date."
3:04:30 PM
3:04:54 PM
AT EASE
3:05:23 PM
RECONVENED
Co-Chair Foster MOVED to ADOPT proposed committee
substitute for HB 79, Work Draft 33-GH1063\B (Marx,
3/16/23).
Representative Stapp OBJECTED for discussion.
Co-Chair Johnson asked her staff to review the changes in
the CS.
REMOND HENDERSON, STAFF, REPRESENTATIVE DELENA JOHNSON,
relayed that the only changes in the CS were conforming
changes made by Legislative Legal Services and the
Legislative Finance Division.
3:06:52 PM
Co-Chair Foster asked for a brief review of the three items
related to SNAP [Supplemental Nutrition Assistance
Program], OPA [Office of Public Advocacy], and the Public
Defender Agency (PD) in the fast track supplemental.
Mr. Henderson replied that Section 4 of the bill included
the appropriations. The bill appropriated $2,285,200 from
the general fund to the Department of Administration (DOA)
for legal and advocacy services under OPA for the cost of
implementing Chapter 44 SLA 2022 for the fiscal year June
30, 2023. He believed the language was in reference to HB
325 passed in 2022, which required the agencies to obtain
additional attorneys to address the items required as a
result of the legislation. He recalled that HB 5 had been
merged into HB 325 and the fiscal note had been zeroed out.
The increment in the fast track supplemental reflected what
DOA anticipated to be the cost of administering the passage
of HB 325. Sections B, C, and D were primarily
appropriations to the services line item in the various
allocations. He stated his understanding that most of the
work would likely be contracted out to address the current
backlogs.
Co-Chair Foster pointed out that the bill was also meant to
address the substantial issue facing the SNAP food stamp
program in Alaska.
Mr. Henderson agreed. He noted that the SNAP funding was
contained in Section 1 of the bill.
3:10:16 PM
AT EASE
3:11:06 PM
RECONVENED
Co-Chair Johnson OPENED public testimony.
3:11:50 PM
HERMAN MORGAN, SELF, ANIAK (via teleconference), testified
that he had heard many residents on the radio reporting
they had not been able to get their food stamps for many
months because food stamp offices were closed. He stated
the governor was going to fix schools and was telling
parents to take legal action against their school boards
because of inappropriate things taught without parents'
permission. He felt parents' rights were being violated due
to a lack of a proper consent form. He thought the
legislature needed to reign in health and social services
because there were side effects of an injection. Some
villages wanted to take the state to court because they
were getting $2 billion in federal funds. He stated there
were bad things going on that were hurting the Native
population. He spoke about the importance of the Permanent
Fund Dividend in rural Alaska. He continued his testimony.
He was glad to answer any questions. He thought the
legislature needed to listen to the governor and the people
of Alaska.
3:16:30 PM
Co-Chair Johnson CLOSED public testimony.
3:16:55 PM
Representative Stapp MAINTAINED the OBJECTION to the
adoption of the CS for a question. He requested to ask a
question of Mr. Steininger.
Co-Chair Johnson noted individuals in the room for
questions.
Representative Stapp asked about the reappropriation from
the Medicaid budget to the Division of Public Assistance
for the purpose of Medicaid redetermination. He asked Mr.
Steininger to clarify that the $3,088,700 reappropriation
from the unobligated, unexpended balance of the Medicaid
Services budget was currently available.
NEIL STEININGER, DIRECTOR, OFFICE OF MANAGEMENT AND BUDGET,
OFFICE OF THE GOVERNOR, clarified that the most recent
projections from the Department of Health showed an
unobligated balance of approximately $10 million.
Representative Stapp WITHDREW the OBJECTION.
Representative Josephson asked for clarification that
Representative Stapp's objection had been to the adoption
of the work draft.
Co-Chair Johnson replied affirmatively.
There being NO further OBJECTION, Work Draft 33-GH1063\B
was ADOPTED.
Co-Chair Johnson moved to the amendment process.
3:19:50 PM
Representative Josephson MOVED to ADOPT Amendment 1 (copy
on file):
DEPARTMENT: Law
APPROPRIATION: Criminal Division
ALLOCATION: Criminal Justice Litigation
ADD: $1 ,249.8 general funds 1004
POSITIONS: 10 PFT Positions
EXPLANATION: Add five Assistant Attorney General IV
positions, two Victim Witness Paralegal II positions,
three Law Office Assistant II positions, and funding
for associated Travel, Services, and Commodities
costs. This distribution should match the SLA 2022
fiscal note to HB 5 pertaining to sexual assault and
the definition of consent. The Fiscal Note was
provided to the House Judiciary Committee with the
identifier HB005CSSS(JUD)-LAW-CRIM-CJL-05-05-22 but
was ultimately not funded in FY23.
Representative Stapp OBJECTED.
Representative Josephson explained the amendment. He stated
that with great fanfare and close to a unanimous vote, HB
325 was adopted in May [2022]. He detailed that the bill
had been sponsored by former Representative Sarah Rasmussen
and had added the crime of harassment to domestic violence
crimes. He explained that HB 5 had been inserted into HB
325, which involved the way the state prosecutes and thinks
about sexual assault. He elaborated that under prior law an
assault victim had to show some evidence that they tried to
use force to defend from the assailant. Under the new law
that was no longer necessary. He stated the update was a
very important modernization and former Representative
Geran Tarr deserved much credit.
3:21:36 PM
AT EASE
3:21:48 PM
RECONVENED
Representative Josephson continued to review Amendment 1.
He explained that the law was designed to result in more
convictions through more pleas or trials. He elaborated
that under the new law if an assault victim responded by
freezing - a common, defensible, and understandable
reaction out of a state of shock and fear - the prosecutor
could move forward with the case. He relayed that at the
close of business in May [2022] no fiscal notes were
adopted to fund the bill. He emphasized that the point of
the bill was to result in more crime charged. He detailed
that prosecutors had requested $1.7 million starting July 1
[2022] and the fiscal note had included two high level
assistant attorney generals, three lower level assistant
attorney generals, two victim witness paralegals, and three
law office assistants. He underscored the issue was about
enforcing the law.
Representative Josephson continued that defense counsel
also explained that their workload would increase as a
result of defending more clients. The public defenders did
not receive their requested funding either. He relayed that
HB 79 included a request for OPA and PD to address their
backlog. Additionally, OPA and PD had specified their need
for funding to defend the new crimes. He encouraged
committee members to support the funding. He underscored
that prosecutors did not have any resources to prosecute
new crime. He remarked that [the Department of Law] had
reported having great success (particularly around December
and January) at hiring new prosecutors under a bill he had
sponsored, which gave substantial pay increases for
lawyers.
Representative Josephson explained that the numbers in
Amendment 1 had been calculated not randomly, but sort of
scientifically. He detailed that OPA's fast track amount
included in HB 79 was 88.5 percent of the agency's original
request. The PD's amount was 58 percent of its original
request. The average of the two was 73 percent of the
requests. The amendment included 73 percent of the district
attorney's original request. The amendment was 100 percent
consistent with the fast track issues. He emphasized the
money was needed to defend the cases unless someone was
prosecuting the cases. He believed the amendment had great
merit, which was to prosecute offenders who behave badly.
He asked for members' support.
3:25:41 PM
Co-Chair Foster shared that he had cosponsored HB 5 and
supported it. He stated there had been a lot of talk about
having another appropriation bill out there. He stated that
people were very concerned that an appropriation bill could
get "Christmas treed" and possibly die in the other body.
He was very concerned that if HB 79 did not pass, there
would be many people who were relying on SNAP who may not
receive the benefit or may see a further delay in the
benefit. He did not believe SNAP recipients could wait any
longer. He believed the amendment could be added to the
regular supplemental bill or another crime bill. He noted
the governor currently had three crime bills before the
legislature. He supported the items in the amendment;
however, it had taken substantial work for the fast track
bill to come before the committee and there was a lot of
skittishness about having the appropriation bill out there.
He underscored that having the legislation before the
committee was a big deal and a good thing. He did not want
to see SNAP recipients going without benefits for several
more months; therefore, he opposed the amendment.
Co-Chair Johnson associated herself with the remarks made
by Co-Chair Foster. She stated there was a right time for
the right amendment and she believed the current focus
should be on getting SNAP benefits to those who needed
them.
Representative Stapp MAINTAINED the OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Galvin, Josephson, Ortiz
OPPOSED: Coulombe, Cronk, Stapp, Tomaszewski, Foster,
Johnson
Co-Chair Edgmon and Representative Hannan were absent from
the vote.
The MOTION to adopt Amendment 1 FAILED (3/6).
3:29:26 PM
AT EASE
3:30:05 PM
RECONVENED
Co-Chair Johnson MOVED to ADOPT Amendment 2, 33-GH1063\B.4
(Marx, 3/20/23)(copy on file):
Page 1, line 1, following "appropriations;":
Insert "making appropriations under art. IX, sec.
17(c), Constitution of the State of Alaska, from the
constitutional budget reserve fund;"
Page 5, following line 13:
Insert a new bill section to read:
"* Sec. 5. CONSTITUTIONAL BUDGET RESERVE FUND. (a) If,
after the appropriations made in sec. 85(b), ch. 11,
SLA 2022, the unrestricted state revenue available for
appropriation in fiscal year 2023 is insufficient to
cover the general fund appropriations that take effect
in fiscal year 2023 that are made in ch. 12, SLA 2022,
as passed by the Thirty-Second Alaska State
Legislature in the Second Regular Session and enacted
into law, and the general fund appropriations that
take effect in fiscal year 2023 that are made in ch.
11, SLA 2022, as passed by the Thirty-Second Alaska
State Legislature in the Second Regular Session and
enacted into law, not including the appropriation made
in sec. 78(u), ch. 11, SLA 2022, the amount necessary
to balance revenue and general fund appropriations
that take effect in fiscal year 2023 that are made in
ch. 12, SLA 2022, as passed by the Thirty-Second
Alaska State Legislature in the Second Regular Session
and enacted into law, and the general fund
appropriations that take effect in fiscal year 2023
that are made in ch. 11 , SLA 2022, as passed by the
Thirty-Second Alaska State Legislature in the Second
Regular Session and enacted into law, not including
the appropriation made in sec. 78(u), ch. 11, SLA
2022, is appropriated to the general fund from the
budget reserve fund (art. IX, sec. 17, Constitution of
the State of Alaska).
(b) If, after the appropriation made in (a) of this
section, the unrestricted state revenue available for
appropriation in fiscal year 2023 is insufficient to
cover the general fund appropriations that take effect
in fiscal year 2023, not including the appropriation
made in sec. 78(u), ch. 11, SLA 2022, the amount
necessary to balance revenue and general fund
appropriations that take effect in fiscal year 2023,
not including the appropriation made in sec. 78(u),
ch. 11, SLA 2022, and not to exceed $115,000,000, is
appropriated to the general fund from the budget
reserve fund (art. IX, sec. 17, Constitution of the
State of Alaska).
(c) The appropriations made from the budget reserve
fund (art. IX, sec. 17, Constitution of the State of
Alaska) in (a) and (b) of this section are made under
art. IX, sec. 17(c), Constitution of the State of
Alaska."
Renumber the following bill section accordingly.
Co-Chair Foster OBJECTED for discussion.
Co-Chair Johnson explained the amendment was in recognition
of the current market conditions and the impact on the
ability to fund the FY 24 budget as well as the current
supplemental requests. Although the spring forecast had yet
to be released, the state was anticipating an additional
deficit of close to $250 million due to low oil prices.
Section (a) of the amendment appropriated a draw from the
CBR to cover the deficit arising from the FY 23 revenue and
all appropriations made the prior session with the
exception of K-12 forward funding. Section (b) appropriated
up to $115 million from the CBR for an additional FY 23
budget rising from appropriations made in the current
session. The $115 million would cover the current
supplementals requested by the governor. The amendment
covered the fast track and regular supplemental and capped
the amount at the amount brought forward.
3:32:04 PM
AT EASE
3:32:40 PM
RECONVENED
Co-Chair Foster WITHDREW the OBJECTION.
There being NO further OBJECTION, Amendment 2 was ADOPTED.
3:33:41 PM
AT EASE
3:33:52 PM
RECONVENED
Co-Chair Foster MOVED to REPORT CSHB 79(FIN) out of
Committee with individual recommendations with authority
given to Legislative Legal Services and the Legislative
Finance Division to make any necessary technical and or
conforming changes.
There being NO OBJECTION, it was so ordered.
3:34:57 PM
AT EASE
3:35:04 PM
RECONVENED
CSHB 79(FIN) was REPORTED out of committee with six "do
pass" recommendations, two "no recommendation"
recommendations, and one "amend" recommendation.
| Document Name | Date/Time | Subjects |
|---|---|---|
| CS WorkDraft HB 79 v.B HFIN 031623.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 79 |
| CS Workdraft HB 39 v B Operating Budget 031523.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 39 |
| HB 39 CS v B 2 HCS1 Agency Summary All Funds.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 39 |
| HB 39 CS v B 1 HCS1 Agency Summary UGF Only.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 39 |
| HB 39 CS v B 4 HCS1 to GovAmend Transaction Compare.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 39 |
| HB 39 v B 3 HCS1 Statewide Totals.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 39 |
| CS Workdraft v. B HB 41 Mental Health Bill 031523.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 41 |
| HB 41 CS v B HCS1 MH Capital Project Detail.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 41 |
| HB 79 Amendments 1-2 032023.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 79 |
| HB 79 Amendments with Actions 032023.pdf |
HFIN 3/20/2023 1:30:00 PM |
HB 79 |